FG Licenses a 2.8 Million-Ton Gas Plant.
The Federal Government has granted a ‘License to Construct’ to UTM Offshore Limited for the establishment of a Floating Liquefied Natural Gas (FLNG) facility with a capacity of 2.8 million tonnes per annum. This landmark project is notable as the first of its kind in Nigeria and represents a significant step in the government’s efforts to enhance gas production, distribution, and utilisation.
At the official launch event, Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, praised this achievement as a testament to President Bola Tinubu’s vision for transforming Nigeria’s gas sector. He highlighted the importance of the FLNG project in shaping the country’s energy landscape.
Ekpo expressed the significance of the day for the Ministry of Petroleum Resources, stating that he had to cut short his trip to China to attend this crucial event. He underscored the importance of witnessing the handover of licenses to UTM Energy, which will operate the facility, emphasizing its capacity to contribute significantly to Nigeria’s energy needs.
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The floating facility, to be built offshore, is viewed as a vital element of Nigeria’s ambitious plans for gas expansion. Ekpo reiterated the administration’s dedication to ensuring that gas becomes a central pillar of Nigeria’s economy by the year 2030.
“This initiative aligns with the vision of the President of the Federal Republic of Nigeria to enhance gas production, distribution, and utilisation. Under the Decade of Gas Initiative, we aim to position gas as a driving force for the nation’s economy by 2030,” he stated.
He also acknowledged the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) for its thoroughness in granting the license and commended UTM’s leadership for taking the initiative on this bold project.
In related news, the government has reported that gas production is nearing 12 billion cubic feet per day and has distributed free cooking gas cylinders in Lagos. Ekpo noted that the development of gas resources will contribute to lowering the cost of living for Nigerians.
